Brief: LSB Industries Q2 Sales USD 151.296 Million

LSB Industries

29/07/2025 21:10

Overview

LSB Q2 net sales rise to $151.3 mln but miss analyst expectations as per LSEG data

Net income falls to $3.0 mln from $9.6 mln year-over-year

Adjusted EBITDA declines to $38.3 mln due to higher natural gas costs

Outlook

Company expects gas costs to be less of a headwind in Q3

LSB sees robust demand for nitric acid and ammonium nitrate

UAN pricing strengthened due to tight U.S. supply fundamentals

Low carbon project expected operational by end of 2026

Result Drivers

SALES VOLUME INCREASE - 6% year-over-year increase in sales volumes driven by improved ammonia production and higher margin upgraded products, per CEO Mark Behrman

HIGHER NATURAL GAS COSTS - Materially higher natural gas prices offset gains from increased sales volumes and higher UAN selling prices, impacting operating income and adjusted EBITDA

FAVORABLE DEMAND - Robust demand in end markets, with tight inventories and global supply disruptions boosting UAN pricing and sales volumes for nitric acid and ammonium nitrate

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Miss
$151.30 mln
$157.30 mln (1 Analyst)
Q2 Net Income
$3.01 mln
Q2 Gross Profit
$23.17 mln
Q2 Operating income
$10.49 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the diversified chemicals peer group is "buy"

Wall Street's median 12-month price target for LSB Industries Inc is $9.00, about 4% above its July 28 closing price of $8.64

The stock recently traded at 30 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nBw9HSS8Pa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)